Mihai_Iacob

Gold- 3 days, 3 breaks of maximum importance.

Long
OANDA:XAUUSD   Gold Spot / U.S. Dollar
As I said since Monday, Gold very much probably found a bottom at 1620 and even though yesterday I expected a correction from the 1730 zone, the overall idea was the same: bullish.
Following the very strong 500 pips reversal on Friday, Gold consolidated on Monday, and on Tuesday we have a very important break: the break of the confluence point given by the falling trend line and 1680-1690 important horizontal zone. A new day of consolidation followed and yesterday a new important break: the break above the 1730 zone.

This second break is also a break of a double bottom's neckline with the second bottom being a double bottom itself (neckline 1680 zone)

Looking at the weekly chart:


1. Last week is marked by a bullish engulfing
2. The break under 1680 support was a false one
3. This week is a very bullish one with almost 1k pips gain

In conclusion, in my opinion, Gold has reversed to its long-term up trend, and as long as 1680 is intact dips should be bought and 1800, 1900, and 2k could offer targets depending on patience.





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